Uni 23-12-2019 - Tax policy on personal income tax

Official letter 4641/TCT-DNNCN 2019 about PIT on overtime pay is issued by the General Department of Taxation as follows:

When calculating overtime pay, the number of overtime hours allowed to be calculated according to the labor law: Maximum 200 hours per year; in special cases no more than 300 hours in a year as prescribed in Article 106 of the Labor Code 2012. The case of overtime exceeding the above-mentioned permissible level is a violation of law. Therefore, the income from salaries and wages paid for working at night and working overtime is higher than that of normal working days for overtime not exceeding the prescribed limit. Article 106 of the Labor Code is exempted from personal income tax.